Setting up an online business in Malta is relatively straightforward, affordable and tax-efficient venture if planned correctly.
There are often many considerations to take into account when starting an e-commerce business.
From start-up to trading operations; businesses need to ensure that they take everything into account and that nothing is left to chance. Speak with a professional to ensure that you are compliant with Maltese laws.
Another important consideration when setting up an online business is the overall E-Commerce tax position. Malta is an extremely favourable jurisdiction for setting up an Online Business and E-Commerce operations because of the low effective corporate tax rate. An important consideration within the tax planning stage is to look at the ownership structure to ensure that it achieves all of your objectives.
Value Added Tax
Increasingly, the indirect tax or VAT position of an E-Commerce company is becoming more sophisticated and often forms the most significant administration and compliance challenge for those starting up. The recent changes in VAT legislation that commenced on 1st January 2015 saw a considerable shake-up the tax system. For example, this affected the tax position of telecommunications, broadcasting and electronic services providers in the EU, and also for Non-EU providers who have EU based customers.
For more information on starting an online business in Malta, you may be interested in: